Plug In America applauds Gov. Newsom’s commitment to replace federal EV tax credit in California

Nov. 25, 2024

Today, California Governor Gavin Newsom announced that California would intervene to provide $7,500 clean vehicle rebates to Californians should Congress and the incoming administration end the federal EV tax credit. California has long been a leader in clean transportation policy, and once again, the state is demonstrating its commitment to the people of California and beyond through the health, economic development and affordability benefits of electric vehicles.

Because California is the fifth largest economy in the world, the state’s reach expands well beyond its geographic borders. With close to two million EVs sold in the state so far, California has significant power to transform markets. Its stronger emissions regulations granted through the Clean Air Act California Waiver have been adopted by 12 states and the District of Columbia.

“Plug In America commends Governor Newsom for California’s continued leadership in driving the transition to clean vehicles. We appreciate his commitment to public health, transportation efficiency and equity, and economic development and innovation,” said Joel Levin, executive director of Plug In America. “Continuing these new and used EV incentives provide more vehicle choice and allow more drivers to experience the benefits of driving electric, including lower operating costs, better warranties, quicker acceleration, and cleaner air–all while supporting U.S. manufacturing and domestic supply chain development.”

Gov. Newsom promised to create a new version of the state’s successful Clean Vehicle Rebate Program, which ended in 2023. His announcement illustrates California’s continued commitment to a clean transportation future and provides clarity and confidence for manufacturers, dealers, and consumers who benefit from the EV tax credits.

Regardless of what happens with the federal EV tax credit, EVs are here to stay. Plug In America annual surveys for years have consistently shown that nine out of 10 EV drivers plan to make their next vehicle electric, and EV sales continue to grow in the U.S.

“EVs offer a superior technology and a lower cost of ownership when compared to gas-powered vehicles,” Levin said. “EVs aren’t going anywhere.”

About Plug In America

Plug In America is the nation’s leading nonprofit organization dedicated to accelerating the use of plug-in electric vehicles in the United States through education, advocacy and research. Formed in 2008, Plug In America provides practical, objective information to consumers and dealerships about EVs through various programs, including National Drive Electric Week, Drive Electric Earth Month, PlugStar.com, and other public outreach events. Learn more at PlugInAmerica.org.

Media contact: Lindsey Perkins

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